For the Weichai people, the spring of this year is the harvest season: In the first quarter, the demand for the Weichai engine market was extremely hot, with 120,000 units of engine sales, the highest level in history, an increase of 65% year-on-year, and a profit of 900 million yuan, a year-on-year increase. 41%, continue to maintain the world's first high-speed high-power engine production and sales.
The impressive performance comes from Weichai’s continuously improving independent innovation capabilities. On April 8th three years ago, General Secretary Hu Jintao came to Weichai and encouraged the Weichai people to rely on independent innovation to continuously improve the quality of their business development and take a place in the world's engine market. Tan Xuguang, chairman of Weichai Power Co., Ltd., told reporters that in the past three years, the Weichai people have kept in mind the general secretary's entrusted efforts to enhance their independent innovation capabilities, strive to achieve scientific development and connotative development, and delivered a satisfactory answer sheet:
The ability of independent innovation continues to increase. Three years ago, Weichai's sales of new products accounted for only 31%, currently reaching 50%, and over 300 new products and more than 100 patents were issued each year;
The enterprise achieves good and fast development. Three years ago, Weichai's sales revenue was 17 billion yuan. At the end of last year, it exceeded 40 billion yuan and became China's largest auto parts and components group with a complete industrial chain of engines, transmissions, axles, and vehicles.
The management level of enterprises has been gradually improved. On March 29 this year, Tan Xuguang won the "Yuan Baohua Corporate Management Gold Medal", which fully affirmed the comprehensive management level of Weichai enterprises. Comprehensive international management concepts and management methods such as comprehensive budget management, Lean Six Sigma management, and various data analysis models are now fully implemented in Weichai.
In order to improve the ability of independent innovation, Weichai has focused on the establishment and improvement of the enterprise innovation system. In order to ensure that the R&D capability of the company is always at the forefront of the internal combustion engine technology at home and abroad, Weichai strengthens cooperation with well-known domestic and foreign institutions of higher education and R&D institutions and integrates global scientific and technological resources. In addition to establishing long-term school-enterprise partnerships with prestigious universities such as Tsinghua University, Tianjin University, and Tongji University, R&D centers have also been established in Europe and the United States, and automotive integration technology centers have been established in Shanghai.
"Human resources are an important guarantee for our success." Tan Xuguang told reporters. Taking human resources as the first strategy, emphasizing the optimization, introduction, and cultivation of human resources, and managing human resources with humane thinking, this is where Weichai has the secret of continuous innovation. Although faced with all kinds of labor cost pressures, Weichai never gave up its thirst for talent. Since 2006, Weichai has only introduced more than 300 masters or more senior personnel and nearly 400 undergraduates.
Although Weichai’s predecessor was an old state-owned enterprise, Weichai had a flexible employment mechanism and an open R&D system that enabled more talented people to use it for firewood. Through the employment mechanism of “does not ask for everything, but use everythingâ€, a large number of talents gather around Weichai.
Independent innovation makes Weichai products one step ahead of the market. Although the State III standard for diesel engines will not be fully implemented until July this year, Weichai Power has already completed the development of the State III engine four years ago. In October last year, it also developed the first domestic engine to meet the National IV emission standard. , And successfully completed the road load test and environmental adaptability test. On April 8, the reporter interviewed Weichai. Nearly 100 technicians from more than 50 heavy trucks, buses and other companies across the country gathered in Weifang to study the supporting application technology and market development direction of the China IV diesel engine. This small ordinary town in the north can attract many technological elites in the commercial vehicle industry in the country. It is because Weichai Power is at the forefront of technological innovation in internal combustion engine technology.
It also attracted the attention of the industry. Weichai used capital resources to realize the innovation of the development model. It changed from simply relying on the extension of material inputs to optimizing the industrial and product structure and integrating the connotative growth of industrial resources. Following the successful listing of the Weichai Power H shares on the Hong Kong Stock Exchange in March 2004 and becoming China's first engine company listed on the Hong Kong Main Board, Weichai Power successfully acquired the "Hunan Torch" in August 2005; 2006 In March, with the approval of the Provincial State Assets Supervision and Administration Commission, Weichai and China National Heavy Duty Truck split up; in August 2006, Weichai’s strategic reorganization has been listed by ST’s Shandong Juli. After that, Weichai Power also completed the return of the Hong Kong H-shares to the mainland A-share market through “absorption and merger and reorganizationâ€. As a result, Weichai has become a large conglomerate with three stocks and two listed companies.
From Hong Kong listing to the acquisition of the reorganization of the Hunan torch, through the continuous operation of the capital market, Weichai has been able to fully integrate its industrial chain. In April 2006, Weichai Power, Foton Motors, Bosch Germany, and Austrian AVL signed the “Three Kingdoms Quartet Alliance†in Beijing; in May of the same year, “Weichai Power Product R&D Community†was announced and was established by 32 powerful players in the industry. Parts suppliers join the community. The establishment of this "integrated vertical and horizontal" system has resulted in the formation of Weichai Power as the main body. Each component supplier has combined strengths and strengths to complement each other, jointly promote scientific and technological innovation and cultivate a powerful diesel engine parts manufacturing system. Weichai quickly jumped out of a single engine production business and used two open-ended capital markets at home and abroad to enable the company to have the world's only industrial chain with engines, axles, and transmissions as the powertrain. The sales, maintenance and consulting service network of related industries, Weichai has become China's largest auto parts enterprise group and is a real industry leader.
Innovation and development will not only make Weichai's business scale rapidly expand, but also more importantly enhance the company's market competitiveness and occupy a place in the fiercely competitive world engine market. In recent years, with the world top 500 companies such as Volvo, Caterpillar and Mercedes-Benz further accelerating their strategic layout in China, the domestic and foreign markets have become one. Weichai, on the one hand, has to meet with foreign companies in the domestic market, and on the other hand also takes the initiative to go out and seize foreign markets. Last year, Weichai earned 92.13 million U.S. dollars in exports, a year-on-year increase of 39%, a record high. In recent years, Weichai has actively implemented its internationalization strategy. The products have passed ISO9000 quality certification, TS16949 international automobile system certification, TUV emission certification, CE certification, and other certification standards of domestic and international authoritative organizations, and have obtained the “pass†to enter the international market.
Weichai's development goal is to achieve an annual sales income of 100 billion yuan in the next three to five years. Tan Xuguang said that General Secretary Hu Jintao pointed out in his report to the 17th CPC National Congress that the promotion of economic growth "is mainly dependent on increasing the consumption of material resources to rely mainly on scientific and technological progress, improvement of the quality of workers, and management innovation", which is proposed for enterprises. New requirements. The development of Weichai in the past relied on innovation. To achieve this new goal, we must also rely on continuous independent innovation.
View related topics: Weichai Power: Expanding Auto Parts Gold Industry Chain
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